Q2 2025 | Q1 2025 | Q2 2025 to Q1 2025 % Change | Q2 2024 | Q2 2025 to Q2 2024 % Change | YTD 2025 | YTD 2024 | YTD % Change | |||||||||||||||||||
Average Daily Sales Volumes (Boe/d) | 21,295 | 18,392 | 16% | 19,786 | 8% | 19,851 | 19,410 | 2% | ||||||||||||||||||
Crude Oil (Bo/d) | 14,511 | 12,074 | 20% | 13,623 | 7% | 13,299 | 13,509 | (2)% | ||||||||||||||||||
Net Sales (MBoe) | 1,937.9 | 1,655.3 | 17% | 1,800.6 | 8% | 3,593.1 | 3,532.6 | 2% | ||||||||||||||||||
Realized Price - All Products ($/Boe) | $42.63 | $47.78 | (11)% | $55.06 | (23)% | $45.00 | $54.82 | (18)% | ||||||||||||||||||
Realized Price - Crude Oil ($/Bo) | $62.69 | $70.40 | (11)% | $80.09 | (22)% | $66.17 | $77.93 | (15)% | ||||||||||||||||||
Revenues ($MM) | $82.6 | $79.1 | 4% | $99.1 | (17)% | $161.7 | $193.6 | (16)% | ||||||||||||||||||
Net Income ($MM) | $20.6 | $9.1 | 126% | $22.4 | (8)% | $29.7 | $27.9 | 6% | ||||||||||||||||||
Adjusted Net Income1 ($MM) | $11.0 | $10.7 | 3% | $23.4 | (53)% | $21.7 | $43.8 | (50)% | ||||||||||||||||||
Adjusted EBITDA1 ($MM) | $51.5 | $46.4 | 11% | $66.4 | (22)% | $97.9 | $128.4 | (24)% | ||||||||||||||||||
Capital Expenditures ($MM) | $16.8 | $32.5 | (48)% | $35.4 | (53)% | $49.3 | $71.6 | (31)% | ||||||||||||||||||
Adjusted Free Cash Flow1 ($MM) | $24.8 | $5.8 | 328% | $21.4 | 16% | $30.6 | $37.0 | (17)% |
Q2 2025 | Q1 2025 | Q2 2025 to Q1 2025 % Change | Q2 2024 | Q2 2025 to Q2 2024 % Change | YTD 2025 | YTD 2024 | YTD % Change | |||||||||||||||||||
Lease operating expenses (“LOE”) ($MM) | $20.2 | $19.7 | 3% | $19.3 | 5% | $39.9 | $37.7 | 6% | ||||||||||||||||||
Lease operating expenses ($/BOE) | $10.45 | $11.89 | (12)% | $10.72 | (3)% | $11.11 | $10.66 | 4% | ||||||||||||||||||
Depreciation, depletion and amortization ($MM) | $25.6 | $22.6 | 13% | $24.7 | 4% | $48.2 | $48.5 | (1)% | ||||||||||||||||||
Depreciation, depletion and amortization ($/BOE) | $13.19 | $13.66 | (3)% | $13.72 | (4)% | $13.41 | $13.73 | (2)% | ||||||||||||||||||
General and administrative expenses (“G&A”) ($MM) | $7.1 | $8.6 | (17)% | $7.7 | (8)% | $15.8 | $15.2 | 4% | ||||||||||||||||||
General and administrative expenses ($/BOE) | $3.68 | $5.21 | (29)% | $4.28 | (14)% | $4.39 | $4.30 | 2% | ||||||||||||||||||
G&A excluding share-based compensation ($MM) | $5.8 | $6.9 | (16)% | $5.6 | 4% | $12.7 | $11.4 | 11% | ||||||||||||||||||
G&A excluding share-based compensation ($/BOE) | $2.99 | $4.19 | (29)% | $3.13 | (4)% | $3.54 | $3.22 | 10% | ||||||||||||||||||
G&A excluding share-based compensation & transaction costs ($MM) | $5.8 | $6.9 | (16)% | $5.6 | 4% | $12.7 | $11.4 | 11% | ||||||||||||||||||
G&A excluding share-based compensation & transaction costs ($/BOE) | $2.99 | $4.18 | (28)% | $3.13 | (4)% | $3.54 | $3.22 | 10% | ||||||||||||||||||
Interest expense ($MM) | $11.8 | $9.5 | 24% | $10.9 | 8% | $21.3 | $22.4 | (5)% | ||||||||||||||||||
Interest expense ($/BOE) | $6.07 | $5.74 | 6% | $6.08 | —% | $5.92 | $6.35 | (7)% | ||||||||||||||||||
Gain (loss) on derivative contracts ($MM) (1) | $14.6 | $(0.9) | 1722% | $(1.8) | 911% | $13.7 | $(20.8) | 166% | ||||||||||||||||||
Realized gain (loss) on derivative contracts ($MM) | $0.6 | $(0.5) | 220% | $(2.6) | 123% | $0.1 | $(4.0) | 103% | ||||||||||||||||||
Unrealized gain (loss) on derivative contracts ($MM) | $14.0 | $(0.4) | 3600% | $0.8 | 1650% | $13.6 | $(16.8) | 181% |
Quarter | Area | Wells Drilled | Wells Completed | |||||||||||||||||
1Q 2025 | Northwest Shelf (Horizontal) | 4 | 4 | |||||||||||||||||
Central Basin Platform (Vertical) | 3 | 3 | ||||||||||||||||||
Total | 7 | 7 | ||||||||||||||||||
2Q 2025 | Central Basin Platform (Horizontal) | 1 | 1 | |||||||||||||||||
Central Basin Platform (Vertical) | 1 | 1 | ||||||||||||||||||
Total | 2 | 2 | ||||||||||||||||||
Q3 | 2H | ||||||||||
2025 | 2025 | ||||||||||
Sales Volumes: | |||||||||||
Total Oil (Bo/d) | 12,850 - 13,850 | 12,500 - 14,000 | |||||||||
Midpoint (Bo/d) | 13,350 | 13,250 | |||||||||
Total (Boe/d) | 19,200 - 21,200 | 19,000 - 21,000 | |||||||||
Midpoint (Boe/d) | 20,200 | 20,000 | |||||||||
Oil (%) | 66% | 66% | |||||||||
NGLs (%) | 18% | 18% | |||||||||
Gas (%) | 16% | 16% | |||||||||
Capital Program: | |||||||||||
Capital spending(1)(3)(4) (millions) | $23 - $31 | $38 - $58 | |||||||||
Midpoint (millions) | $27 | $48 | |||||||||
New Hz and vertical wells (2) | 4 - 6 | 11 - 13 | |||||||||
Recompletions and CTRs | 9 - 12 | 17 - 22 | |||||||||
Operating Expenses: | |||||||||||
LOE (per Boe) | $11.00 - $12.00 | $11.00 - $12.00 | |||||||||
Midpoint (per Boe) | $11.50 | $11.50 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Oil, Natural Gas, and Natural Gas Liquids Revenues | $ | 82,602,759 | $ | 79,091,207 | $ | 99,139,349 | $ | 161,693,966 | $ | 193,642,485 | |||||||||||||||||||
Costs and Operating Expenses | |||||||||||||||||||||||||||||
Lease operating expenses | 20,245,981 | 19,677,552 | 19,309,017 | 39,923,533 | 37,669,451 | ||||||||||||||||||||||||
Gathering, transportation and processing costs | 133,809 | 203,612 | 107,629 | 337,421 | 273,683 | ||||||||||||||||||||||||
Ad valorem taxes | 1,648,647 | 1,532,108 | 1,337,276 | 3,180,755 | 3,482,907 | ||||||||||||||||||||||||
Oil and natural gas production taxes | 3,832,607 | 3,584,455 | 3,627,264 | 7,417,062 | 8,055,567 | ||||||||||||||||||||||||
Depreciation, depletion and amortization | 25,569,914 | 22,615,983 | 24,699,421 | 48,185,897 | 48,491,871 | ||||||||||||||||||||||||
Asset retirement obligation accretion | 382,251 | 326,549 | 352,184 | 708,800 | 703,018 | ||||||||||||||||||||||||
Operating lease expense | 175,090 | 175,091 | 175,090 | 350,181 | 350,181 | ||||||||||||||||||||||||
General and administrative expense | 7,138,519 | 8,619,976 | 7,713,534 | 15,758,495 | 15,182,756 | ||||||||||||||||||||||||
Total Costs and Operating Expenses | 59,126,818 | 56,735,326 | 57,321,415 | 115,862,144 | 114,209,434 | ||||||||||||||||||||||||
Income from Operations | 23,475,941 | 22,355,881 | 41,817,934 | 45,831,822 | 79,433,051 | ||||||||||||||||||||||||
Other Income (Expense) | |||||||||||||||||||||||||||||
Interest income | 69,658 | 90,058 | 144,933 | 159,716 | 223,477 | ||||||||||||||||||||||||
Interest (expense) | (11,757,404) | (9,498,786) | (10,946,127) | (21,256,190) | (22,445,071) | ||||||||||||||||||||||||
Gain (loss) on derivative contracts | 14,648,054 | (928,790) | (1,828,599) | 13,719,264 | (20,843,094) | ||||||||||||||||||||||||
Gain (loss) on disposal of assets | 155,293 | 124,610 | 51,338 | 279,903 | 89,693 | ||||||||||||||||||||||||
Other income | 150,770 | 8,942 | — | 159,712 | 25,686 | ||||||||||||||||||||||||
Net Other Income (Expense) | 3,266,371 | (10,203,966) | (12,578,455) | (6,937,595) | (42,949,309) | ||||||||||||||||||||||||
Income Before Provision for Income Taxes | 26,742,312 | 12,151,915 | 29,239,479 | 38,894,227 | 36,483,742 | ||||||||||||||||||||||||
Provision for Income Taxes | (6,107,425) | (3,041,177) | (6,820,485) | (9,148,602) | (8,549,371) | ||||||||||||||||||||||||
Net Income | $ | 20,634,887 | $ | 9,110,738 | $ | 22,418,994 | $ | 29,745,625 | $ | 27,934,371 | |||||||||||||||||||
Basic Earnings per Share | $ | 0.10 | $ | 0.05 | $ | 0.11 | $ | 0.15 | $ | 0.14 | |||||||||||||||||||
Diluted Earnings per Share | $ | 0.10 | $ | 0.05 | $ | 0.11 | $ | 0.15 | $ | 0.14 | |||||||||||||||||||
Basic Weighted-Average Shares Outstanding | 206,522,356 | 199,314,182 | 197,976,721 | 202,964,856 | 197,684,638 | ||||||||||||||||||||||||
Diluted Weighted-Average Shares Outstanding | 206,982,327 | 201,072,594 | 200,428,813 | 204,085,207 | 199,845,512 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Net sales volumes: | |||||||||||||||||||||||||||||
Oil (Bbls) | 1,320,508 | 1,086,694 | 1,239,731 | 2,407,202 | 2,458,568 | ||||||||||||||||||||||||
Natural gas (Mcf) | 1,703,808 | 1,615,196 | 1,538,347 | 3,319,004 | 3,034,854 | ||||||||||||||||||||||||
Natural gas liquids (Bbls) | 333,374 | 299,366 | 304,448 | 632,740 | 568,250 | ||||||||||||||||||||||||
Total oil, natural gas and natural gas liquids (Boe)(1) | 1,937,850 | 1,655,259 | 1,800,570 | 3,593,109 | 3,532,627 | ||||||||||||||||||||||||
% Oil | 68 | % | 66 | % | 69 | % | 67 | % | 70 | % | |||||||||||||||||||
% Natural Gas | 15 | % | 16 | % | 14 | % | 15 | % | 14 | % | |||||||||||||||||||
% Natural Gas Liquids | 17 | % | 18 | % | 17 | % | 18 | % | 16 | % | |||||||||||||||||||
Average daily sales volumes: | |||||||||||||||||||||||||||||
Oil (Bbls/d) | 14,511 | 12,074 | 13,623 | 13,299 | 13,509 | ||||||||||||||||||||||||
Natural gas (Mcf/d) | 18,723 | 17,947 | 16,905 | 18,337 | 16,675 | ||||||||||||||||||||||||
Natural gas liquids (Bbls/d) | 3,663 | 3,326 | 3,346 | 3,496 | 3,122 | ||||||||||||||||||||||||
Average daily equivalent sales (Boe/d) | 21,295 | 18,392 | 19,786 | 19,851 | 19,410 | ||||||||||||||||||||||||
Average realized sales prices: | |||||||||||||||||||||||||||||
Oil ($/Bbl) | $ | 62.69 | $ | 70.40 | $ | 80.09 | $ | 66.17 | $ | 77.93 | |||||||||||||||||||
Natural gas ($/Mcf) | (1.31) | (0.19) | (1.93) | (0.77) | (1.25) | ||||||||||||||||||||||||
Natural gas liquids ($/Bbls) | 6.19 | 9.65 | 9.27 | 7.83 | 10.29 | ||||||||||||||||||||||||
Barrel of oil equivalent ($/Boe) | $ | 42.63 | $ | 47.78 | $ | 55.06 | $ | 45.00 | $ | 54.82 | |||||||||||||||||||
Average costs and expenses per Boe ($/Boe): | |||||||||||||||||||||||||||||
Lease operating expenses | $ | 10.45 | $ | 11.89 | $ | 10.72 | $ | 11.11 | $ | 10.66 | |||||||||||||||||||
Gathering, transportation and processing costs | 0.07 | 0.12 | 0.06 | 0.09 | 0.08 | ||||||||||||||||||||||||
Ad valorem taxes | 0.85 | 0.93 | 0.74 | 0.89 | 0.99 | ||||||||||||||||||||||||
Oil and natural gas production taxes | 1.98 | 2.17 | 2.01 | 2.06 | 2.28 | ||||||||||||||||||||||||
Depreciation, depletion and amortization | 13.19 | 13.66 | 13.72 | 13.41 | 13.73 | ||||||||||||||||||||||||
Asset retirement obligation accretion | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 | ||||||||||||||||||||||||
Operating lease expense | 0.09 | 0.11 | 0.10 | 0.10 | 0.10 | ||||||||||||||||||||||||
G&A (including share-based compensation) | 3.68 | 5.21 | 4.28 | 4.39 | 4.30 | ||||||||||||||||||||||||
G&A (excluding share-based compensation) | 2.99 | 4.19 | 3.13 | 3.54 | 3.22 | ||||||||||||||||||||||||
G&A (excluding share-based compensation and transaction costs) | 2.99 | 4.18 | 3.13 | 3.54 | 3.22 |
As of | ||||||||||||||
June 30, 2025 | December 31, 2024 | |||||||||||||
ASSETS | ||||||||||||||
Current Assets | ||||||||||||||
Cash and cash equivalents | $ | — | $ | 1,866,395 | ||||||||||
Accounts receivable | 38,729,543 | 36,172,316 | ||||||||||||
Joint interest billing receivables, net | 781,362 | 1,083,164 | ||||||||||||
Derivative assets | 14,815,235 | 5,497,057 | ||||||||||||
Inventory | 5,384,553 | 4,047,819 | ||||||||||||
Prepaid expenses and other assets | 2,716,824 | 1,781,341 | ||||||||||||
Total Current Assets | 62,427,517 | 50,448,092 | ||||||||||||
Properties and Equipment | ||||||||||||||
Oil and natural gas properties, full cost method | 1,949,768,881 | 1,809,309,848 | ||||||||||||
Financing lease asset subject to depreciation | 3,712,233 | 4,634,556 | ||||||||||||
Fixed assets subject to depreciation | 3,494,678 | 3,389,907 | ||||||||||||
Total Properties and Equipment | 1,956,975,792 | 1,817,334,311 | ||||||||||||
Accumulated depreciation, depletion and amortization | (521,741,945) | (475,212,325) | ||||||||||||
Net Properties and Equipment | 1,435,233,847 | 1,342,121,986 | ||||||||||||
Operating lease asset | 1,599,335 | 1,906,264 | ||||||||||||
Derivative assets | 6,613,480 | 5,473,375 | ||||||||||||
Deferred financing costs | 10,456,692 | 8,149,757 | ||||||||||||
Total Assets | $ | 1,516,330,871 | $ | 1,408,099,474 | ||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||
Current Liabilities | ||||||||||||||
Accounts payable | $ | 82,422,634 | $ | 95,729,261 | ||||||||||
Income tax liability | 675,352 | 328,985 | ||||||||||||
Financing lease liability | 724,527 | 906,119 | ||||||||||||
Operating lease liability | 674,927 | 648,204 | ||||||||||||
Derivative liabilities | 2,322,147 | 6,410,547 | ||||||||||||
Notes payable | 1,488,419 | 496,397 | ||||||||||||
Deferred cash payment | 9,604,736 | — | ||||||||||||
Asset retirement obligations | 414,974 | 517,674 | ||||||||||||
Total Current Liabilities | 98,327,716 | 105,037,187 | ||||||||||||
Non-current Liabilities | ||||||||||||||
Deferred income taxes | 37,456,550 | 28,591,802 | ||||||||||||
Revolving line of credit | 448,000,000 | 385,000,000 | ||||||||||||
Financing lease liability, less current portion | 580,604 | 647,078 | ||||||||||||
Operating lease liability, less current portion | 1,061,124 | 1,405,837 | ||||||||||||
Derivative liabilities | 3,864,413 | 2,912,745 | ||||||||||||
Asset retirement obligations | 29,144,695 | 25,864,843 | ||||||||||||
Total Liabilities | 618,435,102 | 549,459,492 | ||||||||||||
Commitments and contingencies | ||||||||||||||
Stockholders' Equity | ||||||||||||||
Preferred stock - $0.001 par value; 50,000,000 shares authorized; no shares issued or outstanding | — | — | ||||||||||||
Common stock - $0.001 par value; 450,000,000 shares authorized; 206,542,615 shares and 198,561,378 shares issued and outstanding, respectively | 206,542 | 198,561 | ||||||||||||
Additional paid-in capital | 809,921,900 | 800,419,719 | ||||||||||||
Retained earnings (Accumulated deficit) | 87,767,327 | 58,021,702 | ||||||||||||
Total Stockholders’ Equity | 897,895,769 | 858,639,982 | ||||||||||||
Total Liabilities and Stockholders' Equity | $ | 1,516,330,871 | $ | 1,408,099,474 |
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Cash Flows From Operating Activities | |||||||||||||||||||||||||||||
Net income | $ | 20,634,887 | $ | 9,110,738 | $ | 22,418,994 | $ | 29,745,625 | $ | 27,934,371 | |||||||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||||||||||
Depreciation, depletion and amortization | 25,569,914 | 22,615,983 | 24,699,421 | 48,185,897 | 48,491,871 | ||||||||||||||||||||||||
Asset retirement obligation accretion | 382,251 | 326,549 | 352,184 | 708,800 | 703,018 | ||||||||||||||||||||||||
Amortization of deferred financing costs | 1,836,174 | 1,238,493 | 1,221,608 | 3,074,667 | 2,443,215 | ||||||||||||||||||||||||
Share-based compensation | 1,351,839 | 1,690,958 | 2,077,778 | 3,042,797 | 3,801,610 | ||||||||||||||||||||||||
Credit loss expense | 205 | 17,917 | 14,937 | 18,122 | 178,777 | ||||||||||||||||||||||||
(Gain) loss on disposal of assets | (155,293) | (124,610) | (89,693) | (279,903) | (89,693) | ||||||||||||||||||||||||
Deferred income tax expense (benefit) | 5,950,639 | 2,805,346 | 6,621,128 | 8,755,985 | 8,206,573 | ||||||||||||||||||||||||
Excess tax expense (benefit) related to share-based compensation | 9,326 | 99,437 | 46,972 | 108,763 | 87,780 | ||||||||||||||||||||||||
(Gain) loss on derivative contracts | (14,648,054) | 928,790 | 1,828,599 | (13,719,264) | 20,843,094 | ||||||||||||||||||||||||
Cash received (paid) for derivative settlements, net | 677,843 | (553,594) | (2,594,497) | 124,249 | (4,056,012) | ||||||||||||||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||||||||||||||
Accounts receivable | (1,809,302) | (564,158) | 2,955,975 | (2,373,460) | (2,284,512) | ||||||||||||||||||||||||
Inventory | (2,083,798) | 747,064 | 189,121 | (1,336,734) | 360,537 | ||||||||||||||||||||||||
Prepaid expenses and other assets | (1,560,295) | 624,812 | (1,251,279) | (935,483) | (747,575) | ||||||||||||||||||||||||
Accounts payable | (2,495,394) | (10,385,137) | (7,712,355) | (12,880,531) | (9,313,631) | ||||||||||||||||||||||||
Settlement of asset retirement obligation | (363,691) | (207,580) | (160,963) | (571,271) | (752,324) | ||||||||||||||||||||||||
Net Cash Provided by Operating Activities | 33,297,251 | 28,371,008 | 50,617,930 | 61,668,259 | 95,807,099 | ||||||||||||||||||||||||
Cash Flows From Investing Activities | |||||||||||||||||||||||||||||
Payments for the Lime Rock Acquisition | — | (70,859,769) | — | (70,859,769) | — | ||||||||||||||||||||||||
Payments to purchase oil and natural gas properties | (150,183) | (647,106) | (147,004) | (797,289) | (622,862) | ||||||||||||||||||||||||
Payments to develop oil and natural gas properties | (18,173,374) | (31,083,507) | (36,554,719) | (49,256,881) | (75,459,527) | ||||||||||||||||||||||||
Payments to acquire or improve fixed assets subject to depreciation | (135,386) | (34,275) | (26,649) | (169,661) | (151,586) | ||||||||||||||||||||||||
Proceeds from sale of fixed assets subject to depreciation | — | 17,360 | 10,605 | 17,360 | 10,605 | ||||||||||||||||||||||||
Proceeds from sale of New Mexico properties | — | — | (144,398) | — | (144,398) | ||||||||||||||||||||||||
Insurance proceeds received for damage to oil and natural gas properties | 99,913 | — | — | 99,913 | — | ||||||||||||||||||||||||
Net Cash Used in Investing Activities | (18,359,030) | (102,607,297) | (36,862,165) | (120,966,327) | (76,367,768) | ||||||||||||||||||||||||
Cash Flows From Financing Activities | |||||||||||||||||||||||||||||
Proceeds from revolving line of credit | 56,322,997 | 114,000,000 | 29,500,000 | 170,322,997 | 81,000,000 | ||||||||||||||||||||||||
Payments on revolving line of credit | (68,322,997) | (39,000,000) | (44,500,000) | (107,322,997) | (99,000,000) | ||||||||||||||||||||||||
Payments for taxes withheld on vested restricted shares, net | (57,015) | (896,431) | (86,991) | (953,446) | (901,976) | ||||||||||||||||||||||||
Proceeds from notes payable | 1,648,539 | — | 1,501,507 | 1,648,539 | 1,501,507 | ||||||||||||||||||||||||
Payments on notes payable | (160,120) | (496,397) | (145,712) | (656,517) | (679,446) | ||||||||||||||||||||||||
Payment of deferred financing costs | (5,381,602) | — | (45,704) | (5,381,602) | (45,704) | ||||||||||||||||||||||||
Reduction of financing lease liabilities | (88,874) | (136,427) | (176,128) | (225,301) | (431,284) | ||||||||||||||||||||||||
Net Cash Provided by (Used in) Financing Activities | (16,039,072) | 73,470,745 | (13,953,028) | 57,431,673 | (18,556,903) | ||||||||||||||||||||||||
Net Increase (Decrease) in Cash | (1,100,851) | (765,544) | (197,263) | (1,866,395) | 882,428 | ||||||||||||||||||||||||
Cash at Beginning of Period | 1,100,851 | 1,866,395 | 1,376,075 | 1,866,395 | 296,384 | ||||||||||||||||||||||||
Cash at End of Period | $ | — | $ | 1,100,851 | $ | 1,178,812 | $ | — | $ | 1,178,812 |
Oil Hedges (WTI) | |||||||||||||||||||||||||||||||||||||||||||||||
Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | ||||||||||||||||||||||||||||||||||||||||
Swaps: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (Bbl) | 471,917 | 241,755 | 608,350 | 577,101 | 171,400 | 529,000 | 509,500 | 492,000 | |||||||||||||||||||||||||||||||||||||||
Weighted average swap price | $ | 68.64 | $ | 65.56 | $ | 67.95 | $ | 67.41 | $ | 62.26 | $ | 65.34 | $ | 62.82 | $ | 60.45 | |||||||||||||||||||||||||||||||
Two-way collars: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (Bbl) | 225,400 | 404,800 | — | — | 379,685 | — | — | — | |||||||||||||||||||||||||||||||||||||||
Weighted average put price | $ | 65.00 | $ | 60.00 | $ | — | $ | — | $ | 60.00 | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Weighted average call price | $ | 78.91 | $ | 75.68 | $ | — | $ | — | $ | 72.50 | $ | — | $ | — | $ | — | |||||||||||||||||||||||||||||||
Gas Hedges (Henry Hub) | |||||||||||||||||||||||||||||||||||||||||||||||
Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | ||||||||||||||||||||||||||||||||||||||||
NYMEX Swaps: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (MMBtu) | 300,500 | 128,400 | 140,600 | 662,300 | 121,400 | 613,300 | — | — | |||||||||||||||||||||||||||||||||||||||
Weighted average swap price | $ | 3.88 | $ | 4.25 | $ | 4.20 | $ | 3.54 | $ | 4.22 | $ | 3.83 | $ | — | $ | — | |||||||||||||||||||||||||||||||
Two-way collars: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (MMBtu) | 309,350 | 748,000 | 694,500 | 139,000 | 648,728 | 128,000 | 717,000 | 694,000 | |||||||||||||||||||||||||||||||||||||||
Weighted average put price | $ | 3.17 | $ | 3.10 | $ | 3.50 | $ | 3.50 | $ | 3.10 | $ | 3.50 | $ | 3.99 | $ | 3.00 | |||||||||||||||||||||||||||||||
Weighted average call price | $ | 4.98 | $ | 4.40 | $ | 5.11 | $ | 5.42 | $ | 4.24 | $ | 5.42 | $ | 5.21 | $ | 4.32 |
Oil Hedges (basis differential) | |||||||||||||||||||||||||||||||||||||||||||||||
Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | ||||||||||||||||||||||||||||||||||||||||
Argus basis swaps: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (Bbl) | 183,000 | 276,000 | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Weighted average spread price (1) | $ | 1.00 | $ | 1.00 | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — |
Gas Hedges (basis differential) | |||||||||||||||||||||||||||||||||||||||||||||||
Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | Q3 2026 | Q4 2026 | Q1 2027 | Q2 2027 | ||||||||||||||||||||||||||||||||||||||||
El Paso Permian Basin basis swaps: | |||||||||||||||||||||||||||||||||||||||||||||||
Hedged volume (MMBtu) | 381,725 | 363,200 | — | — | — | — | 700,000 | — | |||||||||||||||||||||||||||||||||||||||
Weighted average spread price (2) | $ | 1.69 | $ | 1.69 | $ | — | $ | — | $ | — | $ | — | $ | 0.74 | $ | — |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | Per share - diluted | Total | Per share - diluted | Total | Per share - diluted | Total | Per share - diluted | Total | Per share - diluted | ||||||||||||||||||||||||||||||||||||||||||||||||||
Net income | $ | 20,634,887 | $ | 0.10 | $ | 9,110,738 | $ | 0.05 | $ | 22,418,994 | $ | 0.11 | $ | 29,745,625 | $ | 0.15 | $ | 27,934,371 | $ | 0.14 | |||||||||||||||||||||||||||||||||||||||
Share-based compensation | 1,351,839 | 0.01 | 1,690,958 | 0.01 | 2,077,778 | 0.01 | 3,042,797 | 0.02 | 3,801,610 | 0.02 | |||||||||||||||||||||||||||||||||||||||||||||||||
Unrealized loss (gain) on change in fair value of derivatives | (13,970,211) | (0.07) | 375,196 | — | (765,898) | — | (13,595,015) | (0.07) | 16,787,082 | 0.08 | |||||||||||||||||||||||||||||||||||||||||||||||||
Transaction costs - executed A&D | 1,000 | — | 1,776 | — | — | — | 2,776 | — | 3,539 | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Tax impact on adjusted items | 2,964,996 | 0.01 | (500,646) | (0.01) | (304,225) | — | 2,464,350 | 0.01 | (4,752,202) | (0.02) | |||||||||||||||||||||||||||||||||||||||||||||||||
Adjusted Net Income | $ | 10,982,511 | $ | 0.05 | $ | 10,678,022 | $ | 0.05 | $ | 23,426,649 | $ | 0.12 | $ | 21,660,533 | $ | 0.11 | $ | 43,774,400 | $ | 0.22 | |||||||||||||||||||||||||||||||||||||||
Diluted Weighted-Average Shares Outstanding | 206,982,327 | 201,072,594 | 200,428,813 | 204,085,207 | 199,845,512 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjusted Net Income per Diluted Share | $ | 0.05 | $ | 0.05 | $ | 0.12 | $ | 0.11 | $ | 0.22 |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Net income | $ | 20,634,887 | $ | 9,110,738 | $ | 22,418,994 | $ | 29,745,625 | $ | 27,934,371 | |||||||||||||||||||
Interest expense, net | 11,687,746 | 9,408,728 | 10,801,194 | 21,096,474 | 22,221,594 | ||||||||||||||||||||||||
Unrealized loss (gain) on change in fair value of derivatives | (13,970,211) | 375,196 | (765,898) | (13,595,015) | 16,787,082 | ||||||||||||||||||||||||
Income tax (benefit) expense | 6,107,425 | 3,041,177 | 6,820,485 | 9,148,602 | 8,549,371 | ||||||||||||||||||||||||
Depreciation, depletion and amortization | 25,569,914 | 22,615,983 | 24,699,421 | 48,185,897 | 48,491,871 | ||||||||||||||||||||||||
Asset retirement obligation accretion | 382,251 | 326,549 | 352,184 | 708,800 | 703,018 | ||||||||||||||||||||||||
Transaction costs - executed A&D | 1,000 | 1,776 | — | 2,776 | 3,539 | ||||||||||||||||||||||||
Share-based compensation | 1,351,839 | 1,690,958 | 2,077,778 | 3,042,797 | 3,801,610 | ||||||||||||||||||||||||
Loss (gain) on disposal of assets | (155,293) | (124,610) | (51,338) | (279,903) | (89,693) | ||||||||||||||||||||||||
Other income | (150,770) | (8,942) | — | (159,712) | (25,686) | ||||||||||||||||||||||||
Adjusted EBITDA | $ | 51,458,788 | $ | 46,437,553 | $ | 66,352,820 | $ | 97,896,341 | $ | 128,377,077 | |||||||||||||||||||
Adjusted EBITDA Margin | 62 | % | 59 | % | 67 | % | 61 | % | 66 | % |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Net Cash Provided by Operating Activities | $ | 33,297,251 | $ | 28,371,008 | $ | 50,617,930 | $ | 61,668,259 | $ | 95,807,099 | |||||||||||||||||||
Adjustments - Condensed Statements of Cash Flows | |||||||||||||||||||||||||||||
Changes in operating assets and liabilities | 8,312,480 | 9,784,999 | 5,979,501 | 18,097,479 | 12,737,505 | ||||||||||||||||||||||||
Transaction costs - executed A&D | 1,000 | 1,776 | — | 2,776 | 3,539 | ||||||||||||||||||||||||
Income tax expense (benefit) - current | 147,460 | 136,394 | 152,385 | 283,854 | 255,018 | ||||||||||||||||||||||||
Capital expenditures | (16,827,513) | (32,451,531) | (35,360,832) | (49,279,044) | (71,621,840) | ||||||||||||||||||||||||
Credit loss expense | (205) | (17,917) | (14,937) | (18,122) | (178,777) | ||||||||||||||||||||||||
Loss (gain) on disposal of assets | — | — | 38,355 | — | — | ||||||||||||||||||||||||
Other income | (150,770) | (8,942) | — | (159,712) | (25,686) | ||||||||||||||||||||||||
Adjusted Free Cash Flow | $ | 24,779,703 | $ | 5,815,787 | $ | 21,412,402 | $ | 30,595,490 | $ | 36,976,858 |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Adjusted EBITDA | $ | 51,458,788 | $ | 46,437,553 | $ | 66,352,820 | $ | 97,896,341 | $ | 128,377,077 | |||||||||||||||||||
Net interest expense (excluding amortization of deferred financing costs) | (9,851,572) | (8,170,235) | (9,579,586) | (18,021,807) | (19,778,379) | ||||||||||||||||||||||||
Capital expenditures | (16,827,513) | (32,451,531) | (35,360,832) | (49,279,044) | (71,621,840) | ||||||||||||||||||||||||
Adjusted Free Cash Flow | $ | 24,779,703 | $ | 5,815,787 | $ | 21,412,402 | $ | 30,595,490 | $ | 36,976,858 |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Net Cash Provided by Operating Activities | $ | 33,297,251 | $ | 28,371,008 | $ | 50,617,930 | $ | 61,668,259 | $ | 95,807,099 | |||||||||||||||||||
Changes in operating assets and liabilities | 8,312,480 | 9,784,999 | 5,979,501 | 18,097,479 | 12,737,505 | ||||||||||||||||||||||||
Adjusted Cash Flow from Operations | $ | 41,609,731 | $ | 38,156,007 | $ | 56,597,431 | $ | 79,765,738 | $ | 108,544,604 |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
General and administrative expense (G&A) | $ | 7,138,519 | $ | 8,619,976 | $ | 7,713,534 | $ | 15,758,495 | $ | 15,182,756 | |||||||||||||||||||
Shared-based compensation | 1,351,839 | 1,690,958 | 2,077,778 | 3,042,797 | 3,801,610 | ||||||||||||||||||||||||
G&A excluding share-based compensation | 5,786,680 | 6,929,018 | 5,635,756 | 12,715,698 | 11,381,146 | ||||||||||||||||||||||||
Transaction costs - executed A&D | 1,000 | 1,776 | — | 2,776 | 3,539 | ||||||||||||||||||||||||
G&A excluding share-based compensation and transaction costs | $ | 5,785,680 | $ | 6,927,242 | $ | 5,635,756 | $ | 12,712,922 | $ | 11,377,607 |
(Unaudited) | |||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||
September 30, | December 31, | March 31, | June 30, | Last Four Quarters | |||||||||||||||||||||||||
2024 | 2024 | 2025 | 2025 | ||||||||||||||||||||||||||
Consolidated EBITDAX Calculation: | |||||||||||||||||||||||||||||
Net Income (Loss) | $ | 33,878,424 | $ | 5,657,519 | $ | 9,110,738 | $ | 20,634,887 | $ | 69,281,568 | |||||||||||||||||||
Plus: Consolidated interest expense | 10,610,539 | 9,987,731 | 9,408,728 | 11,687,746 | 41,694,744 | ||||||||||||||||||||||||
Plus: Income tax provision (benefit) | 10,087,954 | 1,803,629 | 3,041,177 | 6,107,425 | 21,040,185 | ||||||||||||||||||||||||
Plus: Depreciation, depletion and amortization | 25,662,123 | 24,548,849 | 22,615,983 | 25,569,914 | 98,396,869 | ||||||||||||||||||||||||
Plus: non-cash charges reasonably acceptable to Administrative Agent | (26,228,108) | 8,994,957 | 2,392,703 | (12,236,121) | (27,076,569) | ||||||||||||||||||||||||
Consolidated EBITDAX | $ | 54,010,932 | $ | 50,992,685 | $ | 46,569,329 | $ | 51,763,851 | $ | 203,336,797 | |||||||||||||||||||
Plus: Pro Forma Acquired Consolidated EBITDAX | 7,838,163 | 5,244,078 | 7,392,359 | — | 20,474,600 | ||||||||||||||||||||||||
Less: Pro Forma Divested Consolidated EBITDAX | (600,460) | 77,819 | 8,855 | — | (513,786) | ||||||||||||||||||||||||
Pro Forma Consolidated EBITDAX | $ | 61,248,635 | $ | 56,314,582 | $ | 53,970,543 | $ | 51,763,851 | $ | 223,297,611 | |||||||||||||||||||
Non-cash charges reasonably acceptable to Administrative Agent: | |||||||||||||||||||||||||||||
Asset retirement obligation accretion | $ | 354,195 | $ | 323,085 | $ | 326,549 | $ | 382,251 | |||||||||||||||||||||
Unrealized loss (gain) on derivative assets | (26,614,390) | 6,999,552 | 375,196 | (13,970,211) | |||||||||||||||||||||||||
Share-based compensation | 32,087 | 1,672,320 | 1,690,958 | 1,351,839 | |||||||||||||||||||||||||
Total non-cash charges reasonably acceptable to Administrative Agent | $ | (26,228,108) | $ | 8,994,957 | $ | 2,392,703 | $ | (12,236,121) | |||||||||||||||||||||
As of | |||||||||||||||||||||||||||||
June 30, | Corresponding | ||||||||||||||||||||||||||||
2025 | Leverage Ratio | ||||||||||||||||||||||||||||
Leverage Ratio Covenant: | |||||||||||||||||||||||||||||
Revolving line of credit | $ | 448,000,000 | 2.01 | ||||||||||||||||||||||||||
Lime Rock deferred payment | 10,000,000 | 0.04 | |||||||||||||||||||||||||||
Consolidated Total Debt | $ | 458,000,000 | 2.05 | ||||||||||||||||||||||||||
Pro Forma Consolidated EBITDAX | 223,297,611 | ||||||||||||||||||||||||||||
Leverage Ratio | 2.05 | ||||||||||||||||||||||||||||
Maximum Allowed | ≤ 3.00x | ||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||
September 30, | December 31, | March 31, | June 30, | Last Four Quarters | |||||||||||||||||||||||||
2023 | 2023 | 2024 | 2024 | ||||||||||||||||||||||||||
Consolidated EBITDAX Calculation: | |||||||||||||||||||||||||||||
Net Income (Loss) | $ | (7,539,222) | $ | 50,896,479 | $ | 5,515,377 | $ | 22,418,994 | $ | 71,291,628 | |||||||||||||||||||
Plus: Consolidated interest expense | 11,301,328 | 11,506,908 | 11,420,400 | 10,801,194 | 45,029,830 | ||||||||||||||||||||||||
Plus: Income tax provision (benefit) | (3,411,336) | 7,862,930 | 1,728,886 | 6,820,485 | 13,000,965 | ||||||||||||||||||||||||
Plus: Depreciation, depletion and amortization | 21,989,034 | 24,556,654 | 23,792,450 | 24,699,421 | 95,037,559 | ||||||||||||||||||||||||
Plus: non-cash charges acceptable to Administrative Agent | 36,396,867 | (29,695,076) | 19,627,646 | 1,664,064 | 27,993,501 | ||||||||||||||||||||||||
Consolidated EBITDAX | $ | 58,736,671 | $ | 65,127,895 | $ | 62,084,759 | $ | 66,404,158 | $ | 252,353,483 | |||||||||||||||||||
Plus: Pro Forma Acquired Consolidated EBITDAX | 4,810,123 | — | — | — | 4,810,123 | ||||||||||||||||||||||||
Less: Pro Forma Divested Consolidated EBITDAX | (672,113) | (66,463) | 40,474 | (4,643) | (702,745) | ||||||||||||||||||||||||
Pro Forma Consolidated EBITDAX | $ | 62,874,681 | $ | 65,061,432 | $ | 62,125,233 | $ | 66,399,515 | $ | 256,460,861 | |||||||||||||||||||
Non-cash charges acceptable to Administrative Agent: | |||||||||||||||||||||||||||||
Asset retirement obligation accretion | $ | 354,175 | $ | 351,786 | $ | 350,834 | $ | 352,184 | |||||||||||||||||||||
Unrealized loss (gain) on derivative assets | 33,871,957 | (32,505,544) | 17,552,980 | (765,898) | |||||||||||||||||||||||||
Share-based compensation | 2,170,735 | 2,458,682 | 1,723,832 | 2,077,778 | |||||||||||||||||||||||||
Total non-cash charges acceptable to Administrative Agent | $ | 36,396,867 | $ | (29,695,076) | $ | 19,627,646 | $ | 1,664,064 | |||||||||||||||||||||
As of | |||||||||||||||||||||||||||||
June 30, | |||||||||||||||||||||||||||||
2024 | |||||||||||||||||||||||||||||
Leverage Ratio Covenant: | |||||||||||||||||||||||||||||
Revolving line of credit | $ | 407,000,000 | |||||||||||||||||||||||||||
Pro Forma Consolidated EBITDAX | 256,460,861 | ||||||||||||||||||||||||||||
Leverage Ratio | 1.59 | ||||||||||||||||||||||||||||
Maximum Allowed | ≤ 3.00x | ||||||||||||||||||||||||||||
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
All-In Cash Operating Costs: | |||||||||||||||||||||||||||||
Lease operating expenses (including workovers) | $ | 20,245,981 | $ | 19,677,552 | $ | 19,309,017 | $ | 39,923,533 | $ | 37,669,451 | |||||||||||||||||||
G&A excluding share-based compensation | 5,786,680 | 6,929,018 | 5,635,756 | 12,715,698 | 11,381,146 | ||||||||||||||||||||||||
Net interest expense (excluding amortization of deferred financing costs) | 9,851,572 | 8,170,235 | 9,579,586 | 18,021,807 | 19,778,379 | ||||||||||||||||||||||||
Operating lease expense | 175,090 | 175,091 | 175,090 | 350,181 | 350,181 | ||||||||||||||||||||||||
Oil and natural gas production taxes | 3,832,607 | 3,584,455 | 3,627,264 | 7,417,062 | 8,055,567 | ||||||||||||||||||||||||
Ad valorem taxes | 1,648,647 | 1,532,108 | 1,337,276 | 3,180,755 | 3,482,907 | ||||||||||||||||||||||||
Gathering, transportation and processing costs | 133,809 | 203,612 | 107,629 | 337,421 | 273,683 | ||||||||||||||||||||||||
All-in cash operating costs | $ | 41,674,386 | $ | 40,272,071 | $ | 39,771,618 | $ | 81,946,457 | $ | 80,991,314 | |||||||||||||||||||
Boe | 1,937,850 | 1,655,259 | 1,800,570 | 3,593,109 | 3,532,627 | ||||||||||||||||||||||||
All-in cash operating costs per Boe | $ | 21.51 | $ | 24.33 | $ | 22.09 | $ | 22.81 | $ | 22.93 |
(Unaudited for All Periods) | |||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
Cash Operating Margin | |||||||||||||||||||||||||||||
Realized revenues per Boe | $ | 42.63 | $ | 47.78 | $ | 55.06 | $ | 45.00 | $ | 54.82 | |||||||||||||||||||
All-in cash operating costs per Boe | 21.51 | 24.33 | 22.09 | 22.81 | 22.93 | ||||||||||||||||||||||||
Cash Operating Margin per Boe | $ | 21.12 | $ | 23.45 | $ | 32.97 | $ | 22.19 | $ | 31.89 |